Other Agency Debt Program

The Other Agency Debts unit (OAD) with the Montana Department of Revenue facilitates the SABHRS Offset and Bad Debt programs by providing collection services to over 150 state agencies, courts, colleges, universities, local governments, and process servers. The SABHRS Offset program captures payments issued by a state agency or university to pay the debt owed by an individual or business. The Bad Debt program facilitates collections activities on accounts that have been transferred to us by another agency. Collection activity on these accounts include phone calls, payment plans, offset of statement payments and issuing monthly statement of accounts. Payments issued by any state agency or Montana university may be offset to help pay on a debt owed by an individual or business.

Frequently Asked Questions

What is an offset?

An offset happens when a qualifying payment being paid in the state accounting system is applied towards an outstanding debt.

What money can be offset?

Any money issued through the statewide accounting service is subjected to be offset.

Examples:

State tax refunds, Medicaid payments, Fish Wildlife & Parks refunds, Department of Labor & Industry refunds, etc.

Why do I owe this debt?

You will need to contact the debt agency listed on the letter you received if you need information about the debt itself.

If an offset was released to me, when should I expect it?

It can take up to 7-10 business days due to mail time or bank processing.

Will my tax refund be offset this year?

We are not able to predict when an offset will occur. If you are concerned about a possible offset, please contact the debt agency you expect you may owe.

How do I pay?

If you received an offset notice, you do not need to pay the amount offset. If this offset does not cover your full balance due with the debt agency, contact the debt agency to make payment arrangements.

If you received a transfer notice or Statement of Account from the Department of Revenue, you can use the TransAction Portal (TAP) to make a payment or request a payment plan.

You may also contact our Collections Bureau at 406-444-6964 for assistance.

I agree with the offset. Can you send the money to the debt agency immediately?

We are required by statute to hold the funds to allow 30 days for a potential objection.

I already paid this debt. Why are you offsetting my refund?

Please contact the debt agency. If this offset creates an overpayment on your account with them, they will need to process the refund to return your overpayment to you.

I talked to the debt agency and they told me the offset was requested in error. Can you cancel this offset request?

We require notification from the debt agency before we can cancel an offset request. Unless we receive this notification, we will continue with the debt offset process. Please contact us so we can help correct the situation.

How do I qualify for a hardship?

Submit an objection to the Other Agency Debts unit through either

Email
DOROtherAgencyDebt@mt.gov
Mail
Montana Department of Revenue
PO Box 1712
Helena, MT 59604-5805

The debt agency will review your objection to determine if you qualify for a hardship based on their policy and procedures.

What if I don't agree with the debt?

If you disagree to the debt itself or have questions regarding your debt, contact the agency you owe.

How do I object if I disagree with the offset process?

You must submit a written objection to the Department of Revenue if you object to the offset process or a debt that has been transferred to the Department of Revenue by following these steps:

  1. Complete the “Request for Informal Review – Collections” (Form CB-1) found on our website at MTRevenue.gov.
  2. Include your name, account ID, contact information where we can reach you, and a detailed explanation of why you disagree with our offset process or the debt that has been transferred.
  3. Send your written objection through one of these three methods:
    Email
    DOROtherAgencyDebts@mt.gov
    Fax
    (406) 444-7723
    Mail
    Attn: OAD Unit
    PO Box 1712
    Helena MT 59604-1712